POSCO has cleared the final environmental hurdle for its $2.8 billion low-carbon iron plant in Port Hedland, Western Australia. The project passed federal review under Australia's EPBC Act, adding to earlier state-level approval. It will process local iron ore into hot briquetted iron (HBI), a key feedstock for electric arc furnaces, with first production targeted for 2031. The plant is designed to produce about 2 million tons of HBI and 700,000 tons of pellets per year. POSCO sees this as a way to secure low-carbon feedstock ahead of rivals, especially with Europe's CBAM raising the cost of exporting high-carbon steel. The project also opens a higher-value processing partnership with existing Roy Hill co-investors Marubeni and China Steel Corp. Remaining steps include Indigenous consultations, utility permits, a final investment decision, and finalizing the equity structure. Construction is expected to start after those are complete.
